Time to Heal Act

This bill changes federal tax law on the sale of a main home by a person whose spouse has died. It would let a surviving spouse exclude up to $500,000 of gain from the sale from taxable income, instead of $250,000, no matter how long ago the spouse died. To qualify, the couple must have met the existing joint requirements for the exclusion just before the death, and the surviving spouse must not have remarried before the end of the tax year of the sale. The change would apply to sales in tax years beginning after the bill becomes law.

Full text and official record on Congress.gov

Sponsors

• Tom Barrett Republican sponsor
• 2 cosponsors